# Worthington Steel Inc. (WS) fundamentals

Data as of 2026-09-08. NYSE, United States. Sector: Basic Materials / Metals & Mining. Price $36.17, market value $1.8 billion.

## Valuation
- **P/E (trailing): 212.8×** (5-yr avg 89.5×, 3-yr avg 89.5×). Worthington Steel Inc. trades at 212.8× trailing earnings, well above its own five-year average of 89.5×: investors are paying up relative to the company's past. The Basic Materials median in the September 2026 study was 19.0×. Forward P/E is 7.4×, lower than trailing, so analysts expect earnings to grow.
- **Price / sales: 0.5×**. Each dollar of revenue is priced at 0.5×, a low multiple typical of thin-margin businesses or out-of-favour stocks.
- **Price / book: 1.7×**. The shares trade at 1.7× book value; book value is a meaningful part of the valuation.
- **EV / EBITDA: 24.3×**. Enterprise value is 24.3× operating earnings before depreciation, the multiple that ignores how the company is financed; above 20× is demanding.
- **Free-cash-flow yield: 4.3%** (5-yr avg 6.0%). Free cash flow equals 4.3% of the market value, below its five-year average of 6.0%, so the shares are pricier on cash than usual.
- **Earnings yield: 0.5%**. The inverse of the P/E: 0.5% of the price is earned each year.

## Profitability
- **Gross margin: 11.7%**. Worthington Steel Inc. keeps 11.7% of revenue after the direct cost of what it sells, a thin margin typical of retail, distribution and commodity businesses.
- **Operating margin: -0.0%**. Operating margin is negative: the business loses money before interest and tax.
- **Net margin: 0.2%**. 0.2% of each dollar of sales reaches the bottom line.
- **Return on equity: 0.8%**. 0.8% on shareholders' equity is weak; the business earns little on the capital its owners have in it.
- **Return on invested capital: -0.1%**. Return on all capital, debt included, is -0.1%: close to or below the cost of capital, so growth may not create value.
- **Return on assets: 0.4%**. Each dollar of assets produces 0.4% of profit.

## Growth
- **Revenue growth (1 yr): 11.3%** (3-yr -1.5%/yr). Revenue grew 11.3% over the last year.
- **EPS growth (1 yr): -92.2%** (3-yr -54.2%/yr). Earnings per share fell 92.2%, slower than revenue, so margins compressed.
- **Free-cash-flow growth (3 yr): -33.3%/yr**. Free cash flow has compounded at -33.3% a year over three years, keeping pace with earnings: the growth is real cash.

## Financial health
- **Debt to equity: 0.24**. Debt is 0.24 times equity: a conservative balance sheet.
- **Net debt / EBITDA: 2.1×**. It would take 2.1 years of operating earnings to repay net borrowings, within the comfortable range.
- **Current ratio: 1.46** (quick 1.46). Current assets cover the next year's liabilities 1.46 times.
- **Altman Z-score: 3.49**. A Z-score of 3.49 places the company in the safe zone for bankruptcy risk.
- **Piotroski F-score: 3/9**. 3 of 9 checks pass: weak or deteriorating financials.

## Dividends
- **Dividend yield: 1.77%** ($0.64 per share, trailing). Worthington Steel Inc. yields 1.77%, a modest yield more typical of a growth-oriented payer.
- **Payout ratio: 384%** (41% of free cash flow). The dividend exceeds earnings (384% payout), though free cash flow still covers it.
- **Consecutive years of increases: 2**. 2 straight years of increases.

## Price and momentum
- **Total return (1 yr): 12.7%** (YTD 5.4%, 3-mo -12.6%). The shares are up 12.7% over twelve months including dividends.
- **From 52-week high: -26.4%** (32.9% above the low). Trading 26% below its 52-week high.
- **200-day average: below**. The price sits below its 200-day moving average, the usual definition of a downtrend.
- **RSI (14-day): 53**. An RSI of 53 is neutral.
- **Beta (1 yr): 1.80** (volatility 47%). Beta of 1.80 against the S&P 500: the shares move much more than the market.

Live score and charts: https://foliofundamentals.com/analyzer?s=WS · Page: https://foliofundamentals.com/stocks/ws

Not investment advice.